Resolution 050845

..Title Authorizing City Council's Transportation and Public Utilities Committee to hold public hearings to discuss the impact of the proposed PGW 19.4% rate hike on the citizens of Philadelphia and explore methods of providing resources and relief to those most severely affected by such a dramatic increase. ..Body WHEREAS, Pursuant to the two recent hurricanes in the Gulf of Mexico and a shortage of natural gas, the Philadelphia Gas Works has asked the state for permission to raise its rates by about 19.4 percent starting Oct. 7; and WHEREAS, Such a rate increase would result in a hike of about $335 per year in the typical residential heating customer's bill; and WHEREAS, This hike would be in addition to the 4.9 percent increase the utility was allowed to put in place on Sept. 1; and WHEREAS, PGW has warned that customers' average heating bills could rise by about 27 percent from last year's average of $1,572 a year; and WHEREAS, Such a hike would come at a time when the state has given the utility the ability to shut off service during the winter months, from Dec. 1 to March 31, to customers who do not pay; and WHEREAS, Because PGW must purchase gas on the wholesale market the proposed increase could not be avoided; and WHEREAS, The effect off the increase could be catastrophic for low-income customers; and WHEREAS, Although there are a programs available that can reduce low-income customers bills, many citizens are either unaware of their availability or don't take advantage of such relief; and WHEREAS, Due to the recent energy-rate hikes additional assistance may be needed. NOW THEREFORE BE IT RESOLVED THAT City Council's Transportation and Public Utilities Committee be authorized to hold public hearings to discuss the impact of the proposed PGW 19.4% rate hike on the citizens of Philadelphia and explore methods of providing resources and relief to those most severely affected by such a dramatic increase. ..End